Various Features of Variable Annuity | NY Zone Exchange

There are some types of annuity and one of them is variable annuity. This annuity is allows various credit return based on the portfolio performance that has been chosen by the holder. The investment vehicle covers bond funds, equity mutual funds, and the money market funds. Therefore, variable annuity suits all people who are looking for portfolio growth and have a strong tolerance to face the risk.

The features of variable annuity are varied and an insurance company can have their own features. However, there are some general features of the investment like. In the variable annuity, we will find flexible premium. We are allowed to make a lump sum or periodical payment and invest the same annuity as many times as we like. Another feature is making an investment on the equity. The annuity type is also having flexible risk. The risk we have depend on our portfolio we have chosen and the market performance.

Variable annuity is also giving us the adjustable portfolio. We are allowed to adjust the portfolio composition without dealing with tax and the same thing goes for market shifting. This annuity suits investor that is looking for retirement income because the growth is very aggressive. We can also find fixed rate option on the annuity. Those are just the examples of the features that we can get on the variable annuity.